Why Obama can't spread the weath around

iVillage Member
Registered: 10-16-2008
Why Obama can't spread the weath around
80
Thu, 10-16-2008 - 10:36am

The problem is Obama will take $1 from Joe the Plumber and maybe end up giving a few pennies to someone in need. Big government doesn't work. When Carter left the White House he left a double digit jobless rate and high inflation. Reagan cut taxes across the board and jobs crew and inflation fell, meanwhile federal tax revenues ONLY dropped 1%. Obama says he's going to return to the Clinton/Reagan tax rates but that's not true, he's going to significantly increase payroll taxes and this will double the impact of his increase in the top marginal tax rate.

Pennsylvania Mom
http://openlettertobarack.blogspot.com/

Pennsylvania Mom http://openlettertobarack.blogspot.com/

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iVillage Member
Registered: 12-29-2005
Sun, 10-19-2008 - 11:21am
Obama is gonna have to take money from SOMEWHERE to pay for the last 8 yrs of this financial grave digging. (i had another thought after that, but Dora the Explorer's theme song is on and i've lost my train of thought.. chit...)
I'll post again when its naptime.
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iVillage Member
Registered: 10-14-2008

< "If he were paid a straight salary, as his employees are, then he would pay an even higher rate as he would, undoubtedly, be in a higher tax bracket."

>>> This was not about Buffet per se but about those receiving huge salaries, bonuses, so on & so forth, not paying a fair share.

As has been stated many, many, many times, they pay the lion's share of the taxes...even paying the "fair share" of the 40% who don't pay any taxes. Their salaries and bonuses are taxes in the same manner as everyone else's salary and bonuses.

< "I'm not familiar with the circumstances of this contractor."

>>> If we had an off-shore bank a/c with intent to avoid taxes we'd be doing something illegal.

If what they're doing is illegal then I'm sure they're being investigated and will soon be prosecuted. If it's legal, then boo hoo...call your Congressman and get him to close the loopholes...or better yet, push for a flat tax.

iVillage Member
Registered: 09-08-2006

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iVillage Member
Registered: 10-16-2008

>>>>while his employees paid an average 32.9% tax rate (his receptionist's tax rate was 30%)>>>

How is that even possible. Warren Buffet is the very top of our economic class, his tax rate is not relevant to someone making $250k. He gets most of his money from capital investments, right? They are taxed lower? The working upper middle class makes their money from working, they pay income tax at the top marginal rates, their deductions are capped and limited, and they are subject to AMT. It is not possible for me to pay less than 28% income tax because of AMT, and if it is please let me know how.

Meanwhile the receptionist if she was making less than $77k would have a top marginal income tax rate of 25%. Her effective tax rate would be LESS than that because she'd only pay 25% on amounts over $31,850. I followed your link but don't see anywhere that explains how a receptionist could have that high of tax rate.

Pennsylvania Mom http://openlettertobarack.blogspot.com/
iVillage Member
Registered: 10-16-2008
This is a fallacy I believed all my adult life until now. The Oprahs of the world might be evading income tax by hiding it overseas, but the average consultant or manager making $250k is buying a house and saving for college, not even aware of how to get these tax loopholes. I always believed what I was told as a good little Democrat, that the wealthy evade tax and don't pay much. But the top 5% pay somewhere between 40-50%+ of his country's federal tax revenues, so if they are evading they are doing a piss poor job. And 1/3 of people pay no income tax, so I don't know what Buffet is doing wrong to screw his employees over but he should look into it a little more.
Pennsylvania Mom http://openlettertobarack.blogspot.com/
iVillage Member
Registered: 07-11-2006
Sun, 10-19-2008 - 10:00pm

>>our country has spent, spent, spent for the past 8 years <<

You mean on the war?

uCruiser.com Ticker
iVillage Member
Registered: 10-16-2008
Sun, 10-19-2008 - 10:03pm
Right, and if Obama only wanted to close loopholes I'd say fine. Close the loopholes, the tax rates are fair.
Pennsylvania Mom http://openlettertobarack.blogspot.com/
iVillage Member
Registered: 10-16-2008
Sun, 10-19-2008 - 10:08pm

>>>>I'm personally not in favor of raising taxes for anybody. However, our country has spent, spent, spent for the past 8 years and not only are we in serious debt, we can't continue to pay for programs we already have.<<<<

>>>>It would be great if our government could actually have a balanced budget. Americans are told to live within their means but the government certainly doesn't.<<<<

>>>>>So maybe it's time for those with a little more to sacrifice as well. <<<<

You had me until the last line. Obama's tax increases on those over $250k will not balance our budget. He said he's going to redistribute that wealth in the form of tax cuts. The cut that applies to everyone is the $500 per person "making work pay" credit. He's going to bring in a little over $100 billion (a fraction of the recent bailout that we also can't afford) by increasing taxes and he'll redistribute that amount, it won't save the budget, it won't reduce the debt, it will take money from my family budget and put $500 extra dollars per year in the hands of thirty-three other families. Are you one? I'm thinking maybe Obama would let me send the checks out directly to avoid the cost of government overhead to collect and redistribute it.

Pennsylvania Mom http://openlettertobarack.blogspot.com/
iVillage Member
Registered: 10-16-2008
Sun, 10-19-2008 - 10:13pm
How are the have-mores not spending more? Every dollar we make either gets spent or invested, both of which help our economy, no? We don't put any of it under the mattress, and we're a family that spends the weekends at little league games, we don't have an overseas account of any kind (nor would we know what to do with it).
Pennsylvania Mom http://openlettertobarack.blogspot.com/
iVillage Member
Registered: 10-16-2008
Sun, 10-19-2008 - 10:16pm

>>>Obama is gonna have to take money from SOMEWHERE to pay for the last 8 yrs of this financial grave digging. (i had another thought after that, but Dora the Explorer's theme song is on and i've lost my train of thought.. chit...)
I'll post again when its naptime.<<<<

LOL about naptime.

Seriously, Obama only gets to spend it once. Either he's going to spend it by fixing the deficit or he's going to spread it around to the middle class. He said he's going to spread it around. The estimates I've seen is the tax on the top 5% will be an extra $100 billion, not even enough to come close to covering the bailout, much less fix the budget and deficit issues, and it won't be used for any of those anyway.

Pennsylvania Mom http://openlettertobarack.blogspot.com/

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